Strategy Analysis Of Business Model Innovation Of Shanghai International Medical Center

Under macroeconomy and political environment, the international and domestic market environment and policy related to the management of the hospital changes quickly, which can be expressed by the globalization of China's medical system reform and medical resources configuration. Distinguishing Shanghai International Medical Center from nonprofit public hospitals, it is facing the subject environment that there are a lot of changes and innovation occurred in the business model of high-end medical institutions. Therefore, nowadays, the development of private high-end medical institutions is facing both opportunities and challenges. Hence, a lot of new problems need to be explored and solved.This essay studies and analyzes a specific high-end medical institution, called the Shanghai international medical center. SIMC originally duplicate the successful business model of Singapore's Parkway Medical Group. However. SIMC still encountered a lot of difficulties such as lacking of customers, high operating costs, lacking of medical personnel. In this essay, the researcher want to summarize the general rule of the implementation of private hospital's business model innovation through the study of the innovations of Shanghai international medical center's business model which using the method of strategic analysis. The purpose of research is to establish a duplicable successful business model for China's high-end private hospital.Private hospital, as an independent economic entity, has a similar nature as corporation. Especially, Shanghai international medical center is a private hospital whom majorly invested by private investors. Therefore, it is not as same as public hospital. It is more similar to the corporation. So, there is a reasonable base for us to analyze its business model innovation. Business model innovation is not just refer to the innovation in any specific field, but it is innovation related to the entire entity. And business model innovation often occurs in industry consolidation period, or in the emerging industry. As a conclusion, the medical industry in China meets the external conditions of business model innovation analysis. Not only private hospital, but also state-owned or joint venture hospital, all need integrity business model innovation to solve the contradiction between supply and demand in the medical industry, so as to achieve the reasonable allocation of scarce medical resources.Business model can be looked as a system which created by an economic entity to meet the demand of market and realize its social function. Just like the common organisms, business model exists because of its unique function in the environment, while maintaining a relatively static nature. Business model is an open system, which can be improved or adapted to any environment. As far as I know, compared with other research topics, there are not a lot of people who are studying the business model innovation for the hospitals like Shanghai international medical center. Almost no one has an in-depth study of this topic. Shanghai International Medical Center and its experts would like to achieve the business model innovation through the value chain innovation, human resources management mode innovation and sharing its interest and benefit with its patients. Therefore, study of this topic has very high theoretical value. This essay would like to make some bold attempt in this field.